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Book Chapter
BC0263-08
TitlePayments for Environmental Services: Introduction to feasibility, supplier characteristics and poverty issues
AuthorErica Lee, Beria Leimona, Meine van Noordwijk, Chetan Agarwal and Sango Mahanty
Year2007
Book TitleInsight: Notes from the Field
PublisherRECOFTC, World Agroforestry Centre (ICRAF) and Winrock International India (WII)
City of PublicationBangkok, Thailand
VolumeIssue 2.2007
Pages5-17
Call NumberBC0263-08
Abstract:
As Payments for Environmental Services (PES) is in its early stages of development and implementation, there are many questions to address regarding its features and functions. In this overview paper, we take a look at three themes relevant to practitioners’ work - the environmental and economic feasibility of PES schemes, the characteristics of environmental service providers, and the relationship between PES and poverty. The first section on environmental and economic feasibility discusses how to develop performance-based (conditional) mechanisms built on real cause-effect relations between land use and environmental services that are economically viable for environmental service (ES) providers and beneficiaries (realistic). The second section on the ES providers discusses the characteristics of many ES providers and the issues facing them, including whether the incentives are sufficient to engage providers on a voluntary basis and whether schemes are adaptive and reflect the voices of and within communities. Finally, the third section discusses the relationship between PES and poverty, namely the opportunities and risks in reducing poverty, and the possible effects of a pro-poor focus on the viability and effectiveness of PES. This synthesis paper gives a conceptual overview of the various issues that will be further explored in the rest of the publication through case studies.
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